It has been a tough year for Bitcoin and a tougher month. Last week Bitcoin went into a spiral when Elon Musk announced that Tesla would stop accepting Bitcoin due to environmental concerns and the Chinese Central Bank banned its use in transactions and payments. The value of Bitcoin fell by almost 50%. Other cryptocurrencies also fell in value after the announcement.
Elon Musk’s new tweet might have given some life to the cryptocurrency. He took to Twitter to indicate support for miners to make their operations more environmentally friendly and sustainable.
Spoke with North American Bitcoin miners. They committed to publish current & planned renewable usage & to ask miners WW to do so. Potentially promising.
— Elon Musk (@elonmusk) May 24, 2021
Elon said that he spoke to North American Bitcoin miners and they are committed together to publish sustainable use of electricity in mining and the research is potentially promising. The statement breathed a new life in the consistent low value of Bitcoin since last week.
There has been a lot of attention to the coal-based energy source of Bitcoin mining. Many people now have been calling for energy usage transparency in Bitcoin mining. Almost 50% of Bitcoin is mined where the energy source is mostly coal-based which is in fact also interfering with China’s carbon reduction targets as China is a signatory of the Paris treaty on climate change.
Musk’s tweet has tipped the scales in favor of Bitcoin and currently, it is trading at around US$ 39k after touching a month low of $25k last week after Elon Musk’s Tesla tweet.